The picture was taken on board the Mackay Bennett - one of the body recovery ships - during a mass funeral service of dozens of the dead.
The image, which shows body bags stacked on the windswept deck while two crewman tip up a stretcher to drop a victim over the side, is going under the hammer, on October 19, at Henry Aldridge and Sons in Devizes.
The photo shows the ship's priest, the Reverend Hind, conducting the service, 'huffingtonpost.Co.Uk' reported.
"This picture blows away the myth the burials were dignified," Auctioneer Andrew Aldridge said.
Records show 166 out of 306 bodies from the Titanic retrieved by the Mackay Bennett were buried at sea.